Board approves WMU 2018-19 operating budget of $424 million

KALAMAZOO, Mich.—The Western Michigan University Board of Trustees approved an estimated general fund operating budget of $424 million for the 2018-19 fiscal year that begins July 1.

The newly approved and balanced budget was approved by trustees at their June 27 meeting. Both revenues and expenses increased by nearly $16 million compared to the previous academic year.

Major revenue ingredients for the WMU budget include $111.1 million in state appropriations for base funding from the state. That amount is up $1.8 million, or 1.62 percent, compared to last year's allocation. 

The top revenue element in the new budget is $304.9 million in expected tuition and fee income. The tuition revenue includes a board-approved 3.88 percent increase in tuition, which falls within the state's tuition-restraint policy. 

As part of the appropriation process, the state required that tuition increases for resident undergraduate students be no more than 3.8 percent—or $490—whichever is greater. Based on the tuition restraint formula, $490 equates to 3.88 percent for WMU.

On the expenditure side, compensation is the single largest expense in the University's budget. The budget reflects negotiated compensation increases for collective bargaining groups and a 2 percent compensation pool for non-bargaining employees, increases that will result in $6.7 million in new compensation costs.

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